Bill > HB2361

This bill reduces the disability threshold for veterans to qualify for a property tax exemption from 40 percent to 10 percent. Currently, veterans with service-connected disabilities of 40 percent or more can receive a tax exemption of up to $15,000 or $18,000 on their homestead or personal property, depending on their specific circumstances. The new legislation lowers this threshold to 10 percent, making the tax break accessible to more veterans with lower disability ratings. To qualify, veterans must still meet certain income requirements and provide certification from the United States Department of Veterans Affairs or a branch of the Armed Forces. The bill also allows veterans to claim exemptions for up to three tax years prior to filing their claim and provides for potential refunds of property taxes collected on the exempt amount. The changes will apply to property tax years beginning on or after July 1, 2026, and the bill will take effect 91 days after the adjournment of the 2025 regular legislative session, providing veterans with broader access to property tax relief.

Military Affairs and Security

https://olis.oregonlegislature.gov/liz/2025R1/Measures/Overview/HB2361